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Tesla’s biggest rival in China: an in-depth look at the $4,200 Wuling HongGuang Mini EV
Tesla’s biggest rival in China is the Wuling HongGuang Mini EV that starts at around $4,200. Information regarding this small but impressive electric car that is a part of an SAIC, General Motors, and Wuling joint venture is vague and usually hard to come by. However, a recent video revealed several new details about the one car that has managed to outsell Tesla for the past five months.
The HongGuang Mini EV: A Quick Introduction
First delivered in July 2020, the Wuling HongGuan Mini EV is manufactured in Lizhou, Guangxi, China, and is available in two variants: one equips a 9.2 kWh battery and the other a 13.8 kWh battery. Capable of a 62 MPH top speed and only around 75 and 110 miles of range per charge, the vehicle’s base model is available for a respectable $4,200. However, a top price of around $5,600 will give you a fully-loaded version of the car complete with air conditioning and power windows, two features that are available in most cars as a standard option. This car, however, is far from standard and is an economical EV made for short trips, tight finances, and efficiency. It’s no Tesla, but it did secure over 119,250 total sales in 2020 alone, making it the second best-selling EV in the Chinese market, trailing the Tesla Model 3.
2021 has proven to be a different story, at least so far. The HongGuang Mini EV has commanded the Chinese electric vehicle sector in 2021, selling just shy of 57,000 units through February and holding a commanding lead over the second-place Model 3, which has accumulated 27,531 total sales so far this year. The affordability of the HongGuang Mini EV is proving to be a disruptor. Although it doesn’t pack the punch or performance of the Model 3, people continue to purchase the car because of its impressive price tag.
Production of the HongGuang Mini EV
As previously mentioned, the Mini EV is produced in Lizhou, Guangxi, at a small but extremely efficient facility. A new car rolls off the line every minute, and the vehicle only takes 4 hours to produce from start to finish, according to YouTuber Gwelio 60, who recently toured the factory to have an inside look at the car.
An assembly line worker at the Wuling plant. He is putting the finishing touches on the HongGuang Mini EV here. (Credit: YouTube | Gweilo 60)
There are not many parts to the car, and it is a relatively simple machine. The battery and some other basic parts that make up a car are really the only things that go under the body and chassis itself. Anything that could be considered a “luxury” is not included in the vehicle’s most basic models. It is really a car to get from point A to point B with as few issues or bells and whistles as possible.
(Credit: YouTube | Gweilo 60)
The vehicle itself is an employee at the plant. In fact, several of them are. Wuling has several HongGuang Mini EVs that haul materials, parts, and other things across the campus of the production facility completely autonomously. The cars operate under their own guidance and can sense when to stop and when to accelerate back onto their path. Gweilo 60 showed an example of how safe they are in the video by crossing the street while a HongGuang Mini EV approached. The car successfully stopped, waited for Gweilo to cross the street, and began navigating once again.
The Interior: Simple, small, and smooth
The bells and whistles are not present in this vehicle. A small dash screen and a simple radio, along with HVAC ventilation, make up the entirety of the dashboard. It is comfortable, small, sleek, and smooth, and it is just enough to keep someone comfortable during their short drive. It isn’t much, but with the low range, it’s not like someone needs excessive entertainment or features. You get what you pay for.
(Credit: YouTube | Gweilo 60)
The ride is smooth, zippy, and comfortable, according to the short review from Gweilo. It won’t go over 62 MPH, but it’s another gas car off the road, something that is always a positive. It has good suspension, it handles well, and it is a comfortable ride for any occupants, he says.
The Bottom Line: Is the Wuling HongGuang Mini EV a real “threat” to Tesla?
No, it probably isn’t a threat to Tesla because Tesla’s cars and the Wuling HongGuang Mini EV simply are not in the same realm. Comparing the car to the Model 3 is like comparing the Model 3 to the Rivian R1T: prices, purpose, and functionality are all different, and they are two cars that shouldn’t be mentioned in the same sentence. Many Tesla enthusiasts have called the Mini EV a “golf cart” because of its size and price point, and really that isn’t far off. However, the Mini EV is undoubtedly a popular vehicle, and the sales figures show that. Is it a legitimate threat to Tesla? Probably not. At least, it doesn’t seem that way. They’re just not comparable.
Tesla to sell zero cars in China by 2030, Morgan Stanley’s Jonas says
That isn’t to say that what Wuling has accomplished with this small but mighty EV isn’t impressive. The sales figures alone are incredible, and it is certainly a great indication that China is ready to buy EVs. However, it would be interesting to see if the Wuling-GM-SAIC partnership would be willing or would plan for a more competitive, luxurious, and expensive EV that would drive competition to the max in the Chinese market. China is becoming a hotbed for EVs, and the Wuling HongGuang Mini EV is driving EV sales through the roof.
Watch Gweilo 60’s full video regarding the Wuling HongGuang Mini EV below.
Elon Musk has firmly denied recent media reports suggesting that SpaceX has reduced its target valuation for an upcoming initial public offering.
The denial came directly from the SpaceX and Tesla frontman on his social media platform X, where he responded with a single word, “False,” to a post from ZeroHedge that cited Bloomberg sources.
This swift rebuttal underscores Musk’s ongoing effort to manage speculation surrounding one of the most anticipated market debuts in recent history.
False
— Elon Musk (@elonmusk) May 29, 2026
According to the disputed reports, SpaceX had lowered its IPO valuation goal to at least $1.8 trillion from previous ambitions exceeding $2 trillion.
The claims emerged amid growing anticipation for the company’s confidential S-1 filing, which positions it for a potential public listing as early as June.
Some had pointed to strong revenue growth, particularly from the Starlink satellite internet service, which contributed heavily to the firm’s 2025 figures of $18.7 billion. Yet challenges persist in other areas, including substantial investments and losses tied to ambitious projects like Starship development and artificial intelligence initiatives, which plan to make life multiplanetary eventually.
Musk’s response highlights a pattern in which he actively counters what he views as inaccurate portrayals of his companies’ trajectories.
SpaceX, already valued privately at extraordinary levels, stands as a cornerstone of Musk’s empire alongside Tesla and xAI. The entrepreneur has long emphasized the transformative potential of reusable rockets and global broadband access, factors that fuel investor enthusiasm despite operational hurdles.
By rejecting the valuation downgrade narrative, Musk signals confidence in SpaceX’s fundamentals and its readiness for public markets on terms favorable to its long-term vision. People have been waiting a very long time to invest in SpaceX, and the valuation, as well as the introductory share price, is not going to need adjusting.
They’ll have plenty of suitors.
This episode reflects broader dynamics in the technology sector, where rumors often swirl around high-profile entities. Musk’s direct engagement with media narratives serves to maintain transparency and control the narrative around his ventures.
As SpaceX prepares for greater scrutiny in public markets, the founder’s denial reinforces optimism about its prospects. Supporters argue that the company’s innovative edge positions it for enduring success, far beyond short-term valuation debates. With the denial now public, attention turns to forthcoming regulatory filings that could provide clearer insights into SpaceX’s strategy and financial health.
The coming weeks promise to reveal more about how SpaceX will transition into a publicly traded powerhouse.
Tesla’s dreams of operating a fully autonomous ride-hailing platform just took a massive step toward reality, as two separate events have indicated the company is perhaps closer than ever to achieving self-driving as a product.
On Thursday, Tesla was granted authorization by the State of Texas to operate driverless vehicles in a commercial manner. On May 28, Senate Bill 2807, passed by the 89th Texas Legislature, took effect after being passed back on September 1, 2025.
The bill establishes a statewide regulatory framework requiring authorization from the Texas Department of Motor Vehicles for companies to operate automated vehicles commercially on Texas roads.
This covers driverless, or SAE Level 4+, operations for passenger transport, meaning Robotaxi, or freight.
Tesla and other companies can self-certify their vehicles and tech as long as they:
- Operate in compliance with Texas traffic laws
- Maintain proper registration, title, and insurance
- Use compliant automated driving systems
- Record onboard activity and handle system failures and glitches safely.
The new authorization, which was first reported by James Stephenson on X, allows companies to utilize their own processes to determine if their vehicles are ready to operate without drivers.
🚨BREAKING:
Tesla has been authorized by the State of Texas to operate driverless vehicles commercially under the new law that took effect today, May 28th, 2026. Tesla has officially self-certified the software running on its robotaxis as Level 4. $TSLA pic.twitter.com/KSJdsvlaW5— James Stephenson (@ICannot_Enough) May 28, 2026
It is a rule that expedites the entire approval process, keeping agencies out of a usually long, lengthy, and frustrating task that is essential to technological advancements. It essentially means Tesla can launch commercial Robotaxi operations at this point.
On the very same day, Tesla continued the momentum as CEO Elon Musk shared a video of Cybercab units autonomously driving off the property at Gigafactory Texas. This is a major step in the story of the Cybercab.
Mass production of the Cybercab started at Giga Texas in April, and it is already heading out of the factory on its own.
Cybercab driving itself out of the GigaTexas factory pic.twitter.com/EwAMVVDjYy
— Elon Musk (@elonmusk) May 28, 2026
These two major events mark a drastic step forward in Tesla’s progress toward Cybercab and the permissions it needs to operate a self-driving ride-hailing service. Tesla is now able to operate autonomously under Texas law by self-certifying, and with the potentially imminent rollout of Cybercab, Tesla’s autonomous dreams are starting to take serious shape.
Elon Musk
The Tesla and SpaceX merger everyone is talking about is quietly building
Tesla and SpaceX may be closer to merging than Wall Street or either company is admitting.
Elon Musk has reportedly discussed merging Tesla and SpaceX with people close to him, according to CNBC, which cited sources familiar with the conversation. Tesla employees have long expected such a transaction and the topic is openly discussed internally, according to internal sources. With SpaceX is days away from kicking off its Wall Street roadshow for what could be the largest IPO in market history, this would be the first time the company will have public market currency to execute a stock-for-stock deal with Tesla.
The financial logic for a merger would make sense. A combined SpaceX and Tesla would create a conglomerate spanning rockets, satellites, electric vehicles, AI infrastructure, and energy storage valued at roughly $3.35 trillion to $3.6 trillion based on SpaceX’s IPO target range and Tesla’s current market capitalization. The two companies are already more intertwined than most people realize. SpaceX bought $697 million worth of Tesla Megapack systems for xAI data centers and $131 million worth of Cybertrucks. Tesla invested $2 billion in xAI, which subsequently merged with SpaceX. Past transactions also include Tesla selling solar equipment and parts to SpaceX, and SpaceX helping with Cybertruck materials.
Will Tesla join the fold? Predicting a triple merger with SpaceX and xAI
Musk himself signaled where this was heading in November 2025 when he posted on X, “My companies are, surprisingly in some ways, trending towards convergence.” Tesla and SpaceX announced a joint semiconductor fabrication facility in Austin called Terafab on the Gigafactory Texas campus, covering two advanced chip factories, with one serving Tesla’s AI needs for vehicles and Optimus robots, the other targeting space-based data centers under SpaceX’s infrastructure vision.
Wedbush analyst Dan Ives places the probability of a merger at 80% to 90% with a target completion in the first half of 2027. The mechanics of a deal became possible the moment SpaceX filed its S-1. Legal experts said a merger likely would not spark antitrust issues but would raise concerns among shareholders in each company, with questions around which company would be the parent, how a stock swap would take place, and who determines the appropriate price. Musk holds about 20% of Tesla’s equity but controls 85.1% of SpaceX’s voting power through a super-voting share class, meaning he would largely be negotiating the terms with himself.
Not everyone is convinced the timing is imminent. Traders on Kalshi place only 33% odds that a merger will happen before May 2027. The more immediate concern for Tesla shareholders is whether the SpaceX IPO pulls capital and Musk’s attention away from Tesla before any merger consolidates the upside for both.
What is clear is that the structural groundwork is already being laid. The Terafab announcement, the xAI merger, the shared supply chain, the cross-company balance sheet transactions, and now the IPO all point in the same direction. Whether the merger follows in 2027 or later, the two companies are already operating more like divisions of a single entity than independent competitors.
Elon Musk strikes down reports on SpaceX IPO rumors
Tesla’s Robotaxi dreams just took a massive step toward reality
